Iron ore miner Atlas Iron Ltd
(ASX:AGO) says it stands to benefit from recent iron ore price negotiations made by top miners BHP Billiton, Rio Tinto and Vale.
The miner says it expects to secure pricing for its iron ore around 90% above 2009/2010 benchmark prices.
Atlas says its free-to-board price for iron ore is approaching all-time record highs and says that it continues to see significant evidence of sustained demand for steel-making raw materials sufficient to underpin the growth of the company over the years to come.
The company says it is on track to achieve iron ore exports at a combined rate of 6 million tonnes per annum from its Wodgina and Pardoo DSO operations in Western Australia by December 2010 growing to 12 million tonnes by 2012.
The miner says that production at its Wodgina project is due to commence in the second quarter of 2010.
Atlas is targeting an initial production rate of 2 million tonnes per annum, ramping up to 3.6 million tonnes per annum during the 4th quarter of 2010.
Atlas Iron’s 2009 financial year result was a loss of $63.14 million.
